India as a whole is practically under lock down since 25th March, 2020 as well as the same will continue till the situation improves and thereafter depending on the situation prevailing thereafter.
IRDAI is also making all its efforts to fight Covid -19 by advising Insurers to cover claims by Covid in existing Health insurance policies. IRDAI also relaxed time for payment of general insurance premium in case of health and other policies. There was a lot of confusion among the public about the status of coverage if the property remains unoccupied for more than 30 days. The General Insurance Council has also issued clarifications on this.
Many health insurance policies lapsed during the lockdown period making the policyholders vulnerable. Policyholders should try to reinstate cover as soon as possible as it is not advisable to remain without cover.
LIC’s IPO will be deferred till March, 2021 as per Central Govt. decision looking at the Covid-19 episode.
The fire insurance business is again witnessing some tariff due to heavy undercutting in this segment. This move will help to balance this portfolio.
The Cyclone Amphan in West Bengal witnessed a lot of claims due to flooding from rain water. It was a double whammy for the public/policyholder as they were already reeling under the after effects of covid and this cyclone compounded their problem multiple times. There has been widespread claims due to seepage of water. Hopefully Insurance companies will settle their claims at a fast pace.
The treatment of Covid patients in private hospitals is very very costly. The hospitals are charging huge sums for treatment of covid patients in spite of the fact that there is no medicine for this disease. For each patient hospitals are charging costs for 10-15 PPE kits per day which is absolutely unethical. The Government should bring some guidelines for this.
